Common law Study Guide
Study Guide
📖 Core Concepts
Common law – body of law created primarily by judicial decisions (case law) rather than statutes.
Precedent / stare decisis – “to stand by things decided”; courts must follow binding prior decisions.
Binding vs. persuasive authority – higher‑court decisions bind lower courts; decisions from courts without authority are merely persuasive.
Case of first impression – a novel issue with no controlling precedent; courts may look to persuasive sources.
Hierarchy of courts – appellate (higher) courts bind lower courts in the same jurisdiction; lower‑court rulings are not binding on higher courts.
Interaction with statutes – statutes generally supersede common law, but many areas (e.g., contracts, torts) remain governed by case law.
Evolution & flexibility – common law develops incrementally, can be reinterpreted when “extraordinary good reason” exists, and adapts to social change.
Equity merger – law and equity now operate in a single civil action; equity prevails in conflicts.
Jurisdictional varieties – pure common‑law jurisdictions, mixed systems (Scotland, Roman‑Dutch), and hybrid common‑law/civil‑law countries.
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📌 Must Remember
Stare decisis = courts follow binding precedent.
Binding authority: higher‑court decision in same jurisdiction.
Persuasive authority: lower‑court, same‑level (en banc), foreign, or academic sources.
Hierarchy rule: appellate > trial; decisions of appellate courts bind all lower courts.
Statutes trump common law unless the statute is silent; common law fills the gaps.
Overruling: U.S. federal panel decisions overruled only en banc or by a higher court; UK Supreme Court can overrule lower‑court criminal decisions.
Erie Doctrine (1938) – federal courts must apply state substantive law in diversity cases.
Equity prevails when law and equity conflict after the Judicature Acts (UK) and FRCP 1937 (U.S.).
Key areas still common‑law‑driven: contract law, tort law, property interests (fee simple, life estate).
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🔄 Key Processes
Determine Applicable Law
Identify material facts.
Locate relevant statutes first, then judicial decisions.
Extract ratio decidendi (principles) from cases.
Prioritize recent, higher‑court decisions.
Apply the Law
Synthesize extracted rules into a coherent legal rule for the case.
Apply that rule to the established facts.
Precedent Creation (Case of First Impression)
No controlling precedent → judge crafts new ratio decidendi.
New rule becomes binding within that jurisdiction.
Overruling Precedent
Show “extraordinary good reason” → court may reinterpret or overrule.
In U.S. federal courts: full court en banc or higher court decision required.
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🔍 Key Comparisons
Common Law vs. Civil Law
Source: Judge‑made precedent vs. codified statutes.
Weight of precedent: Binding (common) vs. limited (civil).
Trial style: Adversarial (common) vs. inquisitorial (civil).
Law vs. Equity
Remedies: Legal rights & damages vs. fairness‑based remedies (injunctions, specific performance).
Precedence: Post‑Judicature Acts, equity prevails when conflict arises.
Binding vs. Persuasive Authority
Binding: Higher court, same jurisdiction.
Persuasive: Lower court, same level (en banc), foreign, academic works.
Statutory Supersession vs. Common‑Law Persistence
Supersession: Statutes override common law unless silent.
Persistence: Contracts, torts, property often still governed by case law.
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⚠️ Common Misunderstandings
“Common law = no statutes.”
Wrong: statutes coexist; common law fills gaps and interprets statutes.
All prior decisions are binding.
Only decisions from higher courts in the same jurisdiction bind; others are persuasive.
Equity no longer exists.
Equity is still a distinct body of principles; it now operates within the same civil action and prevails in conflicts.
“First impression” means judges can ignore all prior law.
Judges still consider persuasive authorities; they just aren’t bound by controlling precedent.
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🧠 Mental Models / Intuition
“Tree of Authority” – visualize a hierarchy: Supreme Court (root) → appellate → trial. Authority flows downward; only upward challenges are possible.
“Statute‑first, case‑second” – treat statutes as the primary rulebook; if the statute is silent or ambiguous, look to case law for the missing piece.
“Precedent as a ladder” – each new case adds a rung; higher courts set the height, lower courts climb.
“Equity as the safety net” – when strict legal rules produce an unfair result, equity steps in, but the net is only as strong as the court that weaves it (i.e., the judge).
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🚩 Exceptions & Edge Cases
En banc overruling – same‑level appellate courts can only overturn each other when sitting en banc.
U.S. federal common law – limited to areas of uniquely federal interest (e.g., admiralty, interstate disputes).
“Extraordinary good reason” – courts may depart from stare decisis even without a higher‑court directive (e.g., societal shifts).
Hybrid jurisdictions – Scotland blends civil‑law roots with modern stare decisis; Canadian bijuralism mixes common‑law provinces with civil‑law Quebec.
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📍 When to Use Which
Use statutory law when the statute expressly covers the issue (clear language, no ambiguity).
Use common‑law precedent when the statute is silent, vague, or when interpreting ambiguous statutory language.
Apply equity when legal remedies (damages) are inadequate to achieve fairness.
Consult persuasive authority (foreign decisions, Restatements, Corpus Juris Secundum) when no binding precedent exists.
Invoke Erie Doctrine in federal diversity cases to apply state substantive law.
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👀 Patterns to Recognize
“Recent & Higher = Binding” – always check the most recent decision from the highest court in the jurisdiction first.
“Statute → Gap → Case Law” – statutes often create a framework; gaps are filled by case law.
“Equity Prevails” – if a fact pattern triggers both legal and equitable claims, equity will dominate the outcome.
“First Impression → Persuasive Sources” – novel issues will cite analogous cases from other jurisdictions or academic commentary.
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🗂️ Exam Traps
Choosing a lower‑court decision as binding – many distractors present a case from a lower court and claim it’s controlling; remember only higher‑court rulings bind.
Assuming statutes always override – exam questions may test the “gap‑filling” role of common law; look for language indicating the statute is silent.
Equity vs. law confusion – answer choices that give legal damages for an equitable remedy (e.g., specific performance) are wrong; equity provides non‑monetary relief.
Misreading “first impression” – some options suggest courts must create legislation; the correct answer emphasizes judicial creation of precedent, not legislative power.
Over‑relying on Restatements – Restatements are persuasive, not binding; selecting them as binding authority is a trap.
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